The Dividend Daily

Chemicals maker DuPont (DD) on Tuesday provided a very optimistic fiscal 2010 earnings forecast that easily bested that of analysts.

The Wilmington, Delaware-based company said it expects 2010 earnings of $2.10 to $2.40 per share, while analysts currently expect $2.01, on average. The company also predicted 20% compound annual earnings growth from 2009 to 2012.

DuPont shares rose 26 cents, or +0.8%, in morning trading Tuesday.

The Bottom Line
We removed DuPont from our “recommended” list last Sept. 26, at a price of $42.61. The company currently has a dividend yield of 5.08%, based on last night’s closing price of $32.27. The stock has technical support in the $27-$30 price area. If the shares can firm up, we see overhead resistance around the $37-$40 price levels. We would remain on the sidelines for now.

DuPont (DD) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.